Paper Instructions: Prepare a paper on cost effectiveness models: Briefly descri

Paper Instructions:
Prepare a paper on cost effectiveness models:
Briefly describe two of the models (e.g. DALY, QALY) . . . suggested length is 400 words +/-
Find examples of the two models in the literature . . . suggested length is 500 words +/-
Provide an opinion of the acceptance of each model to determine allocation of resources in the U.S. healthcare delivery system . . . suggested length is 400 words +/-
Notes:
“Opinion” in this case refers to supporting and contrasting approaches found in your extended review of the literature.
Length is between 1,000 and 1,500 words (typically four to six pages, double-spaced). Prescribed length does not include title page, appendices (if any), or reference section.
APA is recommended though any published writing style may be used, provided the writing style is consistent and facilitates the reader to more fully research the topic using your clearly stated citations and references.
Submit your paper to the course Dropbox before midnight Saturday of Week 3.
There is zero tolerance for plagiarism either intentional or unintentional. If you are unsure . . . ask!
Here is some of my discussion question and post reguarding this paper:
Why Economics
– What is your impression of economics?
– What value does economics have to the typical manager or leader of a healthcare facility or other healthcare stakeholder?
– Why is macroeconomics called “macro”?
(No Discussion post)
Microeconomics
– What’s the difference between macro- and micro- economics?
– How is each used by business?
– How would you use both as a manager of a larger health care company/facility?
My (Microeconomics) discussion response:
Microeconomics enables the study of the economic activities of individuals who make decisions about relatively small resources. This is common in the context where individuals purchase products or services. Individuals make purchasing decisions based on price, quantity and quality and so microeconomics examines these factors in detail. Price, quantity and quality are inextricably related and so microeconomics examines all three and examines the effect that each has on the others. Macroeconomics by contrast is usually defined in conventional terms as the “sum total of economic activity, dealing with the issues of growth, inflation and unemployment”. At a national or international level, macroeconomics deals with the performance of an economy as a whole.
Businesses use microeconomic principles to make decisions regarding the following factors: labor, productivity, types of goods and services offered, supply and demand, economic utility, and pricing. Microeconomics also guides their daily business choices on how they spend their money and why, as well as dictating whether, and why or why not, their target audience patronizes their business. As a manager of a larger health care company or facility I would use health economics to improve the allocation of health resources, increase efficiency, identify more cost-effective technologies, and evaluate alternative sources of financing for health care.
Reference:
Walsh, Kieran. “Medical Education: Microeconomics or Macroeconomics?” The Pan African Medical Journal, The African Field Epidemiology Network, 2 May 2014, https://www.ncbi.nlm.nih.gov/pmc/articles/PMC4213522/. What Is Microeconomics in Economics in Healthcare? – Ictsd.org. https://www.ictsd.org/what-is-microeconomics-in-economics-in-healthcare/.
“Take Online Courses. Earn College Credit. Research Schools, Degrees & Careers.” Study.com | Take Online Courses. Earn College Credit. Research Schools, Degrees & Careers, https://study.com/academy/lesson/how-microeconomic-principles-affect-business-decisions.html.
Health Care Economics
– What are your thoughts about the claim that mainstream economic principles are not easily applied to health care?
– How does moral hazard impact elasticity?
– Provide an example of cross-elasticity from a health care perspective.
My (Health Care Economics) discussion response:
From conducting my research, I would have to disagree with the claims. I believe that mainstream economics is easily applied to healthcare. When looking at it from a bigger picture, economics is often used to attack the challenges that healthcare systems may often face. Essentially, it is used to allocate resources to benefit the patient’s wants and needs. Mainstream economics is very valuable to the healthcare system and without the basics of economics a lot of healthcare facilities would not be able to function properly.
A moral hazard occurs when one party has the opportunity to assume additional risks that negatively affect the other party. The decision is based not on what is considered right, but what provides the highest level of benefit. This can apply to activities within the financial industry. For example borrowers who began struggling to make their mortgage payments experienced moral hazards when determining whether to attempt to meet the financial obligation or walk away from loans that were becoming more difficult to repay. It’s important to realize that elasticity impacts moral hazards by investing which leads to financial crises, and the demand for government regulations will increase. Cross-elasticity is definitely involved in healthcare and it often determines how consumer demands change as prices go up. Take a look at how it affects the pharmaceutical industry, for instance Brand and Generic medications, the two are usually made up of the same active ingredients and may work the exact same, but sometimes one may be more expensive than the other. This may affect the patient and may put them in a financial crisis. References:
Drake, D., & *, N. (2021, January 29). Inside health economics and the forces that Influence Health Care. Wharton Global Youth Program. Retrieved May 18, 2022, from https://globalyouth.wharton.upenn.edu/articles/business/inside-health-economics/ Kenton, W. (2022, March 10). Moral hazard contemplates unusual business risks that have no consequences. Investopedia. Retrieved May 18, 2022, from https://www.investopedia.com/terms/m/moralhazard.asp